Why is Ameren Illinois Utilities (AIU) hosting expos for its business customers to shop for electric supply?

In brief:

 To help business customers understand their options under Illinois’ restructured energy environment

Under Illinois’ restructured energy regulations, electric customers over 1 megawatt of demand are required to shop for their supply as of June 1, 2008. Electric customers over 400 kilowatts of demand are required to shop for their supply as of June 1, 2010. These customers are deemed competitive by law.

To provide the resources customers need to make informed decisions about their energy supply choices

As an energy delivery company, AIU is neutral to our customers’ supply choices and hopes customers will look to the Retail Electric Suppliers (RES’s) for purchasing alternatives.

To allow customers the opportunity to determine which electric supplier can best meet the energy needs of their businesses?

By bringing customers together with Alternative Retail Electric Suppliers, AIU is providing the opportunity for its customers to “shop” among multiple suppliers in one location to determine which supplier can best meet that customer’s business needs for electricity.

To allow customers the opportunity to determine if switching suppliers could reduce their energy supply cost.

Since customers can speak with and request estimates from multiple suppliers, they can more efficiently compare costs to determine if savings can be realized by switching from their current supply choice to an Alternate Retail Electric Supplier.

How do I shop for my electric commodity?

First, know the different options available to you. There are several:

Second, look at your general usage -- both demand (highest amount used) and your hourly usage pattern.  How you use your electricity is important because the cost of electricity changes by hour of the day.

Continue to check back to the market often to see how the electricity prices are changing. Like other commodities, prices change. Over time changing prices may make different alternatives more acceptable to your buying strategies.

What is a RES?

A RES is a retail electric supplier, which must be certified and registered before it can sell electricity to your business. RESs are certified by the Illinois Commerce Commission (ICC). To be certified, each RES documents its ability to do business in Illinois by meeting the required financial and managerial stipulations set forth by the ICC. Moreover, the RES must register with the electric utility company Ameren Illinois Utilities that delivers electricity to your business. To become registered, the RES works with Ameren Illinois Utilities to transfer billing data accurately and consistently.

What is an aggregator?

Consultants that bring business customers together to buy their electricity as a single buyer is an aggregator. Aggregation occurs in different ways, like businesses (schools, community colleges) or like memberships (chambers, neighborhoods, IMA members). The purpose of the aggregator is to group electric load and purchase at the lowest rate a RES can offer.

What happens if my supplier cannot get electricity for delivery?

Electricity will stay on at your business. There will be discussion between the delivery company and the supplier to define costs of the transaction. If this is a longer term occurrence, terms of your contract would be enacted.

What will my bill look like if I switch to a RES? Will I receive one or two bills?

Single bill option is the most used billing option. That is, the customer receives one bill. The bill comes from the RES and contains both the electric supply cost, the transmission costs and the delivery costs. The customer can choose to get two bills, one from the RES for supply and transmission and another from AIU for delivery costs.